Fraser Paper's workers vote to save their jobs, mill will re-open

Fraser Paper's sulphite mill in Edmundston, New Brunswick will re-open after the mill's unionized workers voted last night to accept the company's final offer.

More than 200 jobs will be saved.

Last night's vote results were 81% in favour of the offer with 263 of 294 members present.

The legality of the vote was questioned since the union had already voted against the company's final offer and no national union representatives were present for the vote.

However, the workers wanted to re-vote, and wanted to keep their jobs. Communications, Energy and Paperworkers union local 29 president Doris Lavoie said it was a local matter, so it was a local decision.

On Tuesday, the contract was reduced from a 4 year deal to a 3 year. Before Tuesday the concessions sought by Fraser Papers would have seen unionized workers giving up a 6% wage increase that came into effect July 1 and taking a further 4% pay cut in the first year of the four-year offer. Workers could get 2% annual wage increases for the last three years of the contract if the mill is doing well.

Throughout the dispute the company pointed out the sulphite workers didn't get the raise because they've been at home since early June, while the union emphasized workers hadn't had a raise since 2005 and were being asked to take a cut instead.

Including the July 1 raises, the union said the pay cut is really 10 per cent, or $3 per hour, from the average wage of $28.50 per hour.

The new deal will also change the pension plan from defined benefit to defined contribution pension and cut job loss compensation as of July 1, 2012. Meal benefits are now cut and vacation and holiday pay have been reduced.

The concessions also involved 42 positions being cut through attrition.

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